Calibre Mining Completes Acquisition of El Limon and La Libertad Gold Mines From B2Gold
— 7:20 PM ET 10/15/2019
VANCOUVER, British Columbia, Oct. 15, 2019 (GLOBE NEWSWIRE) -- Calibre Mining Corp. ( CXBMF ) (the “Company” or “Calibre”) is pleased to announce the closing of the transaction with B2Gold Corp. (“B2Gold”) pursuant to which Calibre has acquired B2Gold’s interest in the El Limon and La Libertad gold mines, the Pavon gold project and additional mineral concessions in Nicaragua for aggregate consideration of US$100 million, which was paid with a combination of cash, common shares, a convertible debenture and a US$10,000,000 cash payment, or at the option of B2Gold, a portion in common shares of Calibre, which will be payable one year from the date of closing (the “Transaction”).
Following the completion of the Transaction, B2Gold owns an approximate 30% direct equity interest in Calibre (for further details on the Transaction, please refer to the Company’s press release dated July 2, 2019). The Company reported a cash balance of CDN$45 million after the cash payment to B2Gold of US$40 million as partial consideration for the Transaction.
Russell Ball, Chief Executive Officer of Calibre stated: “We look forward to partnering with B2Gold and building on the solid foundation they created over the past decade. Calibre moves forward with quality gold production from two mines that will generate significant free cash flow at current metal prices that we intend to use to fund our extensive, near-mine exploration opportunities to add value and extend mine life.”
Mr. Ball added, “Calibre is committed to maintaining B2Gold’s high standards of responsible mining, government relations, health, safety, environmental and corporate social responsibility. The B2Gold team has been tremendous to work with and I would like to thank them for the fairness, respect and transparency they demonstrated as we worked to negotiate and close this transaction.”
Trading Halt and Graduation
Since announcing the Transaction on July 2, 2019, trading of the shares of the Company has been halted. The Company expects that the shares will remain halted until graduation and commencement of trading on the Toronto Stock Exchange, which is expected to occur on Monday, October 21, 2019.
Calibre Mining Corp.
Russell Ball, Chief Executive Officer
For further information, contact:
Ryan King, VP Corp Dev & IR